Texas Industries, Inc today reported financial results for the quarter ended November 30, 2010. Results for the quarter were a net loss of US$11.2m or US$0.40 per share. Results for the quarter ended November 30, 2009 were a net loss of US$3.7m or US$0.13 per share and included after tax gains from the sale of emission credits of US$2.1m (US$.08 per share).
"Conditions in our markets remain challenging," stated Mel Brekhus, Chief Executive Officer. "Volumes were up compared to the same period a year ago but it is difficult to determine how much might be attributable to market conditions due to the fact that we experienced abnormally inclement weather in Texas a year ago and more typical weather this year."
"We continue to focus on meeting market demand as cost effectively as possible. As planned, we resumed construction of TXI’s central Texas cement plant expansion during the quarter," added Brekhus.
Cement operating profit for the three-month period ended November 30, 2010 was US$1.9m, a decrease of US$8.2m from the prior year period. Lower sales prices offset in part by higher shipments reduced operating profit approximately US$3m. In addition, other income decreased US$4.2m from the prior year period.
Total segment sales for the three-month period ended November 30, 2010 were US$68.6m compared to US$68.2m for the prior year period. Cement sales were comparable to the prior year period as construction activity has remained at low levels in both its Texas and California market areas.
The company’s Texas market area accounted for approximately 73% of cement sales in the current period compared to 69% of cement sales in the prior year period. Average cement prices decreased 6% in its Texas market area and 7% in our California market area. Shipments increased 12% in its Texas market area and decreased 6% in our California market area.